Stock Market & Financial Investment News

Lenders take on more card risk as issuance to subprime borrowers rises, WSJ saysThe number of credit cards issued by banks and other lenders to subprime borrowers jumped 39% compared to the prior year in the first quarter to 3.7M, rising to the highest level since 2008, said The Wall Street Journal, citing data from Equifax. Large U.S. banks that issue credit cards include Capital One (COF), Citibank (C), Bank of America (BAC), JPMorgan (JPM) and Wells Fargo (WFC). Operators of card payment processing networks include Visa (V), MasterCard (MA) and American Express (AXP). Reference Link

American Express, Charles Schwab reach co-brand agreement, Reuters saysAmerican Express (AXP) stated Thursday it has reached a deal with Charles Schwab (SCHW) to offer cards under both company names, reports Reuters. The deal is a multi-year agreement and will involve two kinds of cards, though precise details will not be announced until near the expected launch date in early 2016. Reference Link

SEC says BofA must put investment bank spinoff to shareholder vote, Reuters saysThe SEC has told Bank of America that it must allow shareholders to vote on whether the company will attempt to spin off its investment bank unit, reports Reuters, citing a decision by the Securities and Exchange Commission. A bank spokesperson said the company "will respond to the proposal in our proxy statement." Reference Link